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The Book on Negotiating Real Estate

When the real estate market gets hot, it’s the investors who know the ins-and-outs of negotiating with sellers who will get the deal. This book combines real-world experience and the science of negotiation to cover all aspects of the real estate negotiation process.

Investor from The Creek, West Virginia

I buy in my local area mainly in WV. These types of deals are literally available all over the place. If you are interested in investing the way I do then I suggest either doing it in your local area, or a place you know, have a team, and when I say know, I mean a place you have visited in person.

I invest strictly for cash flow. I don't have the type of money to invest with the big timers in the major cities. I also don't have the guts to invest most/all of my money into one deal/property. I also don't have the guts to pray and ride the appreciation bubbles. I want to own stuff outright, collect the rent, and sleep well at night not worrying about the housing market tanking.

Yeah, I grow slower than some people and have what they would call dead equity. I kind of think equity is false wealth at a certain point. I don't want the stress of having a $150k mortgage on a house that is now only worth $100k because the housing market has tanked. Nothing wrong with what they do and I'm sure they have a better feel for that side of the market than myself so I'm not trying to say I'm right, these are just my opinions.

I look for decent houses in decent neighborhoods. Pay cash for all my properties. Use the rent money to buy more houses. I use my cash as leverage to low ball offers. My biggest rehab so far was a 2BR house I bought for $14k cash. I put $3,500 total into the house and did about half of the work myself. I currently rent it to an excellent young couple for $500/month. I could have easily rented it for $550, but its my first house in this particular place and I always rent below market rent. I know, I'm crazy people say. I would rather rent a little cheaper and have multiple applicants to choose from as opposed to 1 person to choose from.

Tenants I get are all good people and have jobs. Some are single women who just don't want to deal with repairs/upkeep of a house. Some are young people who are just starting out and mature, but not yet ready to buy. Some have good jobs, but it might not be stable or might not be a W2 job so they have trouble getting financed. These are just blue collar middle class people who want a clean/safe place to live. I specifically look for properties close to schools/daycare centers, corner lots, lots adjoining a business, etc.

I do majority of repairs myself, what things I can't or don't want to do I contract out and oversee the project. I manage my 4 (should be 5 next week) properties myself as well. Currently bringing in $2,100/month in cash flow (should be at least $2,600 in a month.) I plan to just keep buying cheap houses and increasing cash flow. I do hope to break into multi families here in the next year or so. Just want to get a little more established first, then possibly finance a multi family while using my free & clear cash flow to help pay off the multi family ASAP.

No right or wrong way to invest man. That's my favorite thing about REI. It allows people to be creative and serve different niches.

Investor from Gulf Breeze, FL

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